The Malaysian government still needs to settle the remaining debt of RM8.9 billion related to the 1Malaysia Development Berhad (1MDB) scandal, according to Deputy Finance Minister Liew Chin Tong.
According to him, the liability involves government-guaranteed sukuk that will mature in 2039. Of that amount, the government still needs to pay RM5 billion in principal and another RM3.9 billion in interest.
As of end-June, the government had paid RM42.5 billion to settle financial commitments related to 1MDB. During the same period, the government managed to recover assets and funds worth RM31.3 billion through asset recovery efforts.
However, if no further asset recovery is successful in the future, the government is expected to incur a net loss of around RM20.1 billion.
The 1MDB scandal involving the misappropriation of billions of ringgit has previously sparked investigations in several countries. Former Prime Minister Najib Razak is currently serving a prison sentence after being convicted in a case related to 1MDB.
Meanwhile, businessman Low Taek Jho (Jho Low), who is alleged to be the mastermind behind the scandal, has yet to be traced despite various efforts to bring him back.
In a similar development, Liew also denied allegations that Jho Low and a delegation from China entered Malaysia last year to hold settlement negotiations regarding the case.
